1. Regional Sourcing Office Supplier Quality Engineering
Operational Review Report Out
North East Asia - China
ISQ Managers Quality Meeting
9.24.2008

3. Human Resources - Organization
Secretary SQ
Yang Lingjuan
Manager
SQE
Ling Hang
Senior Manager
SQE
Liu Zhu
Asst. Manager
SQE
WU Ye
Asst. Manager
SQE
Li Hualiang
Asst. Manager
SQE
TBD
Asst. Manager
SQE
TBD
Asst. Manager
SQE
Wu Minglei
Asst. Manager
SQE
Zhang Tao
Asst. Manager
SQE
Sun Hongwu
Asst. Manager
SQE
TBD
Asst. Manager
SQE
Ren Lihua
?
?
?
?
Manager
SQE
Jia Honglin
Asst. Manager
SQE
Che Jianfu
Asst. Manager
SQE
Mao Liang
Asst. Manager
SQE
Han Suzhen
Asst. Manager
SQE
Zhou Qiang
Asst. Manager
SQE
TBD?
Asst. Manager
SQE
Chang Jian
Asst. Manager
SQE
Yang Hongyu
Asst. Manager
SQE
Shen Yi
Asst. Manager
SQE
Wang Baoning
Asst. Manager
SQE
Ou Yang
Manager
Electrical SQE
Su Shujun
Senior Manager
SQE
Zhao Xiaomin
Asst. Manager
SQE
Liu Wuchen
Interior/Electrical SQ
Manager
Interior SQE
Zhi Yangjun
Asst. Manager
SQE
TBD
Asst. Manager
SQE
Ding Xiangdong
Asst. Manager
SQE
Cao Yangfeng
?
Powertrain SQ
General Manager
Peter Zhou
Chassis SQ
Senior Manager
SQE
Xing Yu
Shanghai Office 35
Beijing Office 12
Taiwan Office 2
China/Tawian SQ
Asst. Manager
SQE
Zhang Ge
Asst. Manager
SQE
Chen Tu

4. China/Tawian SQ
Human Resources - Organization
General Manager
Peter Zhou
Secretary SQ
Yang Lingjuan
Asst. Manager
Exterior SQE
Sun Xin
Asst. Manager
Exterior SQE
TBD
Asst. Manager
BIW SQE
Cai Hailin
Manager
Exterior SQE
Rong Jinghua
Senior Manager
SQE
Li Zhiqin
Manager
SQE
Zhao Chen
Mopar Quality
SQE
Jeff Yin
Asst. Manager
SQE SEM
Song Ying
Secretary
SQ
Li Xiaman
China/Tawian SQ
Taiwan SQ
?
Asst. Manager
SQE
Jason Chung
BIW/Exterior SQ
Manager
SER
Li Dan
Asst. Manager
BIW SQE
Ma Hui
Asst. Manager
BIW SQE
Zhao Kai
Senior Manager
SQE
Zhang Hao
SQE Manager
Taiwan
Ben Hsu
Beijing Operations SQ
Shanghai Office 35
Beijing Office 12
Taiwan Office 2
Senior Manager
SQE
Hang Ling

5. Human Resources – Hiring / Retention
Three activities being done to increase the retention rate:
1. Providing Chrysler System Knowledge Training Regularly
2. Providing Six Sigma Green Belt / Black Belt Training Continuously
3. Providing Attractive Career Path Internally
Three suggestions on how to improve overall retention rate:
1. Providing a Global Exchange Program for High Potential Employee
2. Improving Headquarter Communication Channel vs. RSO
3. Sponsoring Employee Continuous Education Program
2006 2007 2008
# of Employees 13 19 32
# of New Employees 6 18 16
# of Resigned Employees 0 5 5
Total 19 32 43
Retention Rate 100% 84% 88%

6. 2005 2006 2007 2008 2009 2010
Plan
POs Issued w/Released Volumes
Value of Business1
$xy million estimated 2008 savings
(MCM + Other)
Value of Business: $abc million
Supplier Locations: 129
Part Numbers: Over 1000
Highest VOB Components:
• Aluminum Wheels
• Radios
• Wiring
• Amplifiers
• Antennas
• Electronic Modules
• Mopar Side Steps
Supply Base
PO
Data
N/A
$abc M
$abcd M
$abcd M
$416 M
$xyz3 M
1
2008-10 targets based on current VOB and exclude related savings
$abc7 M
$abc M
$abc M
Human Resources – RSO Manpower Planning

7. Human Resources – RSO China Manpower
Planning
Beijing
Shanghai
Taiwan
Total
Projected # of Supplier
Mfg. Locations
Mfg Locations per SQE
2008
16
115
9
49
129
3
2009
38
214
12
59
228
4
2010
43
307
13
59
342
6
(As of Sep 2008)
Human Resources
Required Current
12
35
2
49
-
-
12
29
2
43
-
-

8. Operational Status- Export Suppliers Map
3 in LiaoNing
Province
17/4 in JiangSu
Province
2/1 in AnHui
Province
12/3 in ZheJiang
Province
4/1 in BeiJing
1/1 in HuNan
Province
2 in FuJian
Province
15/1 in GuangDong
Province 5/4 in Taiwan
17/19 in ShangHai
3 in TianJin
3 in HeBei
Province
1 in SiChuan
Province
3 in ShanDong
Province
2/1 in HuBei
Province1 in ChongQing
1 in HeNan
Province
1/1 in JiLin
Province
36 in Japan
57 in Korea
Total 129 Exporting Suppliers in China & Taiwan

9. Common Source Evaluation Status
843 CSE in Total
Year to date through August 31, 2008
91 in Jiangsu area
162 in South Korea
79 in Beijing area
6 in Hunan area
38 in Taiwan
33 in Hubei area
121 in Shanghai area
20 in Sichuan area
73 in Zhejiangi area
58 in Guangdong area
16 in Auhui area
32 in Fujian area
5 in Henan area
36 in Jilin area
29 in Liaoning area
1 in Heilongjiang
area
30 in Shandong
area
1 in Inner
Mongolia area
3 in Shanxi area
3 in Guizhou area
4 in Jiangxi area
1 in Guangxi area
1 in Shan’xi area

10. ISQ Supplier Assessments
206
455
44
79
108
271
54
105
2005 2006
843
2008
SupplierDevelopmentSupplierDevelopment
Supplier fully
approved
Supplier acceptable
for business with
development plan
Supplier rejected
• 128128 SD kicked-off
• 8888 fully developed
•102102 days on average
to complete SD
• Average result before SD:
• China/Taiwan: 75%
• Korea: 84%
• Average result after SD:
• China/Taiwan: 90%
• Korea: 90%
International Supplier Quality continues to grow its supply base
capability in order to satisfy the increasingly aggressive demand for LCC
sourcing
713
102
450
161
2007
Year to date through July 31, 2008
86
174
537
113
266
459
118
88
(88)
Operational Status – Supplier Development

11. Major Supplier Quality
Activities
Component Supplier
Name
Progra
m
AVOB Savings P.O. Date PSO MRD
RCB Steering
Gear
CAAS JK Million U$ Million
U$
7/30/2008 9/15/2008 1/19/2009
Cover ZPA WK/NB
WH
Million
U$
Million
U$
2/20/2008 7/18/2008 12/9/2008
Shift Knob Fangle JS/JC
PM/MK
Million U$ Million U$ 11/25/2007 6/30/2008 10/30/2008
Weather Strip Qiangdao
Meide
JK Million
U$
Million
U$
12/6/2007 8/29/2008 11/30/2008
Component Issue or
Complaint
Source Root Cause Correcti
ve
Action
Date
Open
Date
Closed
Name Plate
Ningbo Swell
Letter stick with back
paper Missing letter
on vehicle
3CPR L2
Yard hold
Silicon oil on
back paper
8/19/2008 9/12/2008
LCD_Display
Promate
Display failure Yard hold
1
Unstable
fluctuating
voltage
8/13/2008 9/8/2008
6-DVD
Alpine Dalian
Radio Internal Fault,
etc.
NCT
15 closed
Structure
misalignment,
NA NA
Advanced
Current
Swell-3CPR
Promate Issue
NCT Reduction
Method

12. China Supplier Quality Tool TrainingChina Supplier Quality Tool Training
Six Sigma TrainingSix Sigma Training
JV Support Activities – BBDC Engineer TrainingJV Support Activities – BBDC Engineer Training
Chrysler Local Engineer TrainingChrysler Local Engineer Training
Best Practices – Training/Local Special Efforts
Technical SeminarTechnical Seminar

13. TS16949SQAS
LPA
DFMEA
PFMEA
CONTROL PLAN
EMP(ERROR/MISTAKE PROOFING)
INCOMING AND
OUTGOING MATERIAL
PPAP
FPSC
KEY CHARACTERISTICS
LINE SPEED
DEMONSTRATION
8 STEP CORRECTIVE
ACTION
PV
FOREVER
REQUIREMENTS
PROCESS CAPABILITY
APPEARANCE
PREVENTATIVE MAINTENANCE
SUPPLIER WARRANTY PARTS PLAN
PART INSPECTION STANDARD
SQAPSQAP
TOOLING, EQUIPMENT, GAGES ENGINEERING STANDARDS TRACEABILITY AND
PACKAGING
KEY PERSONNEL WORK INSTRUCTIONS
AND KEY PERSONNEL TRAINING
PSO APPROVAL
SQAP GATE REQUIREMENTS
In Total, 1191 People from
279 Local Companies.
From Jan.01, 2005
to Sep. 25, 2008
294 Headcount/148 Suppliers
by today
294 Headcount/148 Suppliers
by today
Sep. 2008
436 Headcount/207 Suppliers436 Headcount/207 Suppliers
2007
423 Headcount/128 Suppliers423 Headcount/128 Suppliers
2006
2005
38 Headcount/20 Suppliers38 Headcount/20 Suppliers
Coach Suppliers To Use Quality Tools

14. China Supplier Quality Tool TrainingChina Supplier Quality Tool Training
Six Sigma TrainingSix Sigma Training
JV Support Activities – BBDC Engineer TrainingJV Support Activities – BBDC Engineer Training
Chrysler Local Engineer TrainingChrysler Local Engineer Training
Best Practices
Technical SeminarTechnical Seminar

15. => SQAP Training in Year 2006 at NEA => SQAP Training in Year 2007 at BBDC
=> Supplier Training Week 2006 => Supplier Training Week 2007 => SQAP Training at BBDC/NEA
Year 2005 – Year 2007
No. of Attendees
Year
2006
Year
2007
(10) (9) (7) (63) (55)
Total 204 headcounts/104
suppliers
Year
2005
SQAP SQAP ST
W
(50)
ST
W
SQAPSQAPSQAP
10
10
29
36
86
14
9
204 (89 suppliers)
Coaching BBDC’s China Local Suppliers

16. Year 2005 – Year 2007
No. of Attendees
(19) (20)
Year
2005
SE SQA
P
SE
Year
2006
Year
2007
(25) (40)(2)
LPA
(2) (2) (15) (3) (2) (21)
S Q A P ST
W
SD
(24)
SDRotati
on
Traini
ng
CG
Req.
Traini
ng
=> SE: Supplier Evaluation, => SQAP: Supplier Quality Assurance Process
=> LPA: Line Speed Demonstration => 3CPR: Third Party Containment and Problem Solving
=> SD: Supplier Development => STW: Supplier Training Week
Total 205 headcounts
SQAP
3CPR
30
49
69
94
96
136
138
140
155
158
160
181
20
5
Coaching BBDC’s Quality Engineer

17. China Supplier Quality Tool TrainingChina Supplier Quality Tool Training
Six Sigma TrainingSix Sigma Training
JV Support Activities – BBDC Engineer TrainingJV Support Activities – BBDC Engineer Training
Chrysler Local Engineer TrainingChrysler Local Engineer Training
Best Practices
Technical SeminarTechnical Seminar

18. No.
Year 2007
Year 2008
=> Chrysler engineers have been invited on regular SQAP trainings.
=> Chrysler engineers have been invited for Supplier Training Week for 2007 and 2008.
=> SE, SQAP Trainings have been arranged specially for engineering team.
6
3
1
(25)
SQAPST
W
185
(77)
SQAP
108
(77)
SE
Coaching Chrysler Local Engineer

19. China Supplier Quality Tool TrainingChina Supplier Quality Tool Training
Six Sigma TrainingSix Sigma Training
JV Support Activities – BBDC Engineer TrainingJV Support Activities – BBDC Engineer Training
Chrysler Local Engineer TrainingChrysler Local Engineer Training
Best Practices
Technical SeminarTechnical Seminar

20. Status of 6 Sigma Certification
No
Certi.
29GB
15
BB
3
GB
Supplier
5
Chrysler SQE and Local Suppliers
Certification Status by
Dec. 2008 (47 China SQE)
GB
15
BB
3
No
Certi.
29
No
Cerfri.
31
GB
7
BB
18
GB
Supplier
5
MBB
1
GB
7
BB
18
MBB
1
No
Certi.
31
Certification Status By
Aug. 2009 (57 China SQE)
Chrysler SQE and Local Suppliers
Certification Status in
Jan, 2007 (32 China SQE)
No
Certi.
24
BB
3GB
5

21. BB
32
MBB
1
No
Cert i.
2
GB
22
Planning on Further Belts Skill Development
GB
7
BB
18
MBB
1
No
Certi.
31
Certification Status By
Aug. 2009 (57 China SQE)
Reduce No. from
31 to 2
Increase No. from
7 to 22
Increase No. from
18 to 32
No change
No Certified SQE Green Belt Black Belt Master Black Belt
Enhance Training
Training in house Training in house No plan yetInitiate internal training
Coaching by MU Coaching by MU No plan yetSupport by MU
Conclusion Get more benefit with qualified SQE and save
the training investment
Add 15 projects Add 14 projects No changeDo more projects
29
14
(31)
(7)
(18)

22. China Supplier Quality Tool TrainingChina Supplier Quality Tool Training
Six Sigma TrainingSix Sigma Training
JV Support Activities – BBDC Engineer TrainingJV Support Activities – BBDC Engineer Training
Chrysler Local Engineer TrainingChrysler Local Engineer Training
Best Practices
Technical SeminarTechnical Seminar

23. Seminar PurposeSeminar Purpose
Enhance SQE’s Knowledge
Improve Cooperation
Share Lessons Learned
Bridge Communication with
Key Suppliers
Seminar PurposeSeminar Purpose
Enhance SQE’s Knowledge
Improve Cooperation
Share Lessons Learned
Bridge Communication with
Key Suppliers
Target SupplierTarget Supplier
Chrysler Business Partner
Key Supplier
Leading Industry Company
Focusing on Tech and Mfg.
Target SupplierTarget Supplier
Chrysler Business Partner
Key Supplier
Leading Industry Company
Focusing on Tech and Mfg.
China Supplier Technical Seminar

24. Training Certificate
Seminar Performance
10
32
12032
16
2006 2007
Attendee Information 2006-2007Attendee Information 2006-2007
0
1
2
3
4
5
M a c hining F o rging C a s ting H e a t
tre a tm e nt
R ubbe r S urfa ce
T re a tm e nt
Ele c tric a l
C o ntro l
Training CertificateTraining Certificate
SeminarScopeSeminarScope
SEMINAR SUMMARY
Quality Purchasing Engineering

25. June 12
Chassis system control
ALUMINUM wheel manufacturing technology
ALUMINUM wheel product technology
Taper Roller Bearing Manufacturing process
Seminar Topic
July 6
May 15
April 22
DateSupplier NameCommodity
China Supplier Technical Seminar 2006

26. RCB Steering Gear Product and Process
Technology
Piston Design and Manufacturing
Technology
EMS, Gasoline Direction injection and MPI
Rubber Mount Manufacturing Process
Steering Half shaft Design and
Manufacturing Technology
Piston Design Process
Driveline System Product Technology
Gear Heat Treatment Technology
Seminar Topic
June 22
Nov.2
Aug 31
July 20Siemens VDO
June 29
June 15
May 25
May 31
DateSupplier NameCommodity
China Supplier Technical Seminar 2007